GRIID Infrastructure to Add 60 MW with New Bitcoin Mining Facility in Tennessee
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Insights
The decision by GRIID Infrastructure Inc. to establish a 60 MW bitcoin mining site in Tennessee is a significant development with multiple implications for the energy sector. This move indicates a growing trend of high-energy-consuming businesses, like cryptocurrency mining, seeking regions with affordable and reliable low-carbon electricity. The local utility's involvement, particularly the construction of a substation by Jackson Energy Authority, suggests an anticipation of increased electricity demand and potential growth in utility revenues.
From an energy consumption standpoint, the scalability of such facilities could raise questions about the long-term sustainability and impact on local energy grids. However, the commitment to low-carbon electricity sources could mitigate some environmental concerns. The economic benefits for the region, including increased revenues for the local utility and additional tax receipts, highlight the positive business implications of such a development, provided that the energy demands can be met without compromising local community needs or environmental standards.
GRIID's expansion into Tennessee reflects broader trends in the cryptocurrency industry, where companies are seeking to capitalize on favorable business climates and supportive local governments. The presence of a bitcoin enthusiast as the mayor of Jackson could be seen as an indicator of a pro-crypto stance by local authorities, potentially attracting similar businesses and fostering a hub for blockchain technology.
While the immediate impact on GRIID's operations and profitability could be positive, given the potential for lower operational costs, the volatile nature of the cryptocurrency market means that the long-term success of such ventures remains uncertain. Investors should monitor the correlation between bitcoin prices and the operational viability of mining facilities, as well as any regulatory changes that could affect the industry. The initiative could also serve as a case study for the scalability of cryptocurrency mining operations and their integration within local economies.
The establishment of GRIID’s new bitcoin mining site in Jackson, Tennessee, is poised to have a tangible impact on the local economy. The creation of a specialized facility on a 15-acre plot demonstrates a commitment to long-term investment in the region. The influx of business activity is likely to generate employment opportunities, both directly and indirectly and contribute to the economic diversification of the area.
However, it will be important to assess the broader economic implications, such as the potential strain on local infrastructure and resources and whether the benefits, such as additional tax revenue and increased utility revenues, outweigh any potential costs. The project's success will depend on its ability to integrate with the existing economic ecosystem without causing disproportionate resource allocation or environmental degradation.
CINCINNATI, Feb. 06, 2024 (GLOBE NEWSWIRE) -- GRIID Infrastructure Inc. (NASDAQ: GRDI) (“GRIID” or “Company”), an American infrastructure company that develops and operates vertically integrated bitcoin mining facilities, announced plans to develop and operate a 60 MW bitcoin mining site in Tennessee. The new mining site will be located in Jackson, Tennessee on a 15-acre plot owned by the Company. The local utility, Jackson Energy Authority, has built a substation on the property to support the Company’s plans to begin operations in 2024.
“GRIID came to the Tennessee Valley because of the favorable business climate and the availability of reliable and affordable low-carbon electricity,” said Trey Kelly, CEO of GRIID. “Thanks to the Tennessee Valley Authority (TVA) and its affiliate, Jackson Energy Authority, we will increase our presence in TVA and further our investment in Tennessee. We are grateful to the city of Jackson – they’ve welcomed us with open arms.”
The Company’s arrival in Central Tennessee represents a continued commitment to doing business in a state that is rapidly becoming one of the centers of the bitcoin industry in the U.S. GRIID currently operates three mining sites in East Tennessee in Limestone, Maynardville and Lenoir City in addition to a development, deployment, and equipment repair center in Rutledge, Tennessee.
GRIID's expansion plans are getting a warm reception from local officials, including Jackson Mayor Scott Conger, a bitcoin enthusiast who has been profiled in the national media and has explored the possibility of paying Jackson’s city employees a portion of their salary in bitcoin.
"We are excited to have GRIID Infrastructure expand their operations in our hometown," said Mayor Conger. "The company is the first of its kind in Jackson, further highlighting our reputation as a center of innovation and business expansion."
“We’re excited to be working with GRIID Infrastructure on the establishment of the new mining facility in Jackson,” said Monte Cooper, President and CEO of the Jackson Energy Authority (JEA). “By luring a bitcoin mining company like GRIID to Jackson, we’re selling more electricity, increasing JEA revenues, and helping the city generate additional sales, property and business tax receipts at no additional cost to our ratepayers, as GRIID is paying for its own substation. It’s a win-win-win for GRIID, Jackson and JEA.”
About GRIID Infrastructure Inc.
GRIID is a purpose-built bitcoin mining company, founded in 2018, that has operated mining facilities since 2019. GRIID has built long-term power relationships securing affordable, reliable, environmentally responsible power, enabling a vertically integrated self-mining business model with significant growth opportunity. Headquartered in Cincinnati, Ohio, GRIID operates a R&D center in Austin, Texas and a development, deployment and equipment repair center in Rutledge, Tennessee. GRIID currently maintains mining facilities in Watertown, New York; Limestone, Maynardville and Lenoir City, Tennessee. To learn more, please visit www.griid.com.
Forward-Looking Statements
Certain statements in this press release may be considered forward-looking statements. Forward-looking statements are statements that are not historical facts and generally relate to future events or the Company’s future financial or other performance metrics. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “will,” “potentially,” “estimate,” “continue,” “anticipate,” “intend,” “could,” “would,” “project,” “target,” “plan,” “expect,” or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements, including statements regarding GRIID’s growth and prospects and GRIID’s expectations regarding the listing of its securities on stock exchanges, are subject to risks and uncertainties, which could cause actual results to differ materially from those expressed or implied by such forward looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by GRIID and its management, are inherently uncertain and subject to material change. Factors that may cause actual results to differ materially from current expectations include, but are not limited to, various factors beyond management’s control, including general economic conditions and other risks, uncertainties and factors set forth in GRIID’s filings with the Securities and Exchange Commission, including the registration statement on Form S-4 filed by Adit EdTech in connection with the business combination, as well as factors associated with companies, such as GRIID, that are engaged in bitcoin mining, including anticipated trends, growth rates, and challenges in those businesses and in the markets in which they operate; market acceptance of bitcoin; reliance on third parties, including utility providers, for the reliable and sufficient supply of electrical power to GRIID’s infrastructure; and the ability to stay in compliance with laws and regulations that currently apply or become applicable to bitcoin. Nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements in this press release, which speak only as of the date they are made and are qualified in their entirety by reference to the cautionary statements herein. GRIID expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in GRIID’s expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
Cboe Canada has neither approved nor disapproved the contents of this press release and accepts no responsibility for the adequacy or accuracy of this release.
Media Contact:
Malory Van Guilder
Skyya PR
+1 651-335-0585
GRIID@skyya.com
Investor Contact:
Jim Golden
Collected Strategies
+1 646-354-7698
griid-cs@collectedstrategies.com
Company Contact:
Harry Sudock
GRIID Infrastructure
+1-615-854-7556
harry@griid.com
FAQ
What is GRIID Infrastructure Inc. planning to develop and operate in Tennessee?
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Why did GRIID choose Tennessee for its expansion?
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